SANTA CLARA, Calif. –– April 28, 2010— Silicon Valley Bank, the premier commercial bank for companies in the technology, life science, venture capital and premium wine industries, surpassed its own record for the second time in six months by growing working capital loan commitments with the Export-Import Bank of the United States (Ex-Im Bank). In April, these commitments grew to $213 million, a first for Silicon Valley Bank, which is one of only three lenders in the United States to reach this level. SVB's Ex-Im Bank loan commitments will help clients generate more than $1 billion in U.S. export sales to 35 different countries and support more than 5,400 new and existing U.S. jobs.
As part of his State of the Union address in January 2010, President Obama set a goal of doubling America's exports over the next five years to support two million new jobs. To that end, President Obama recently launched the National Export Initiative at Ex-Im Bank's annual conference to increase financing, advocacy and assistance for small and medium sized American exporters, representing a coordinated effort across multiple government agencies to grow exports and U.S. jobs.
"I am encouraged by the number of coordinated government initiatives being put into place that support small business export growth and competitive capabilities in global markets." said Jeff Strawn, Head of Global Credit Products and Trade Finance for Silicon Valley Bank. "SVB is a long-time advocate and partner of Ex-Im Bank. We're thrilled to see the energy behind these initiatives, and Ex-Im Bank as a key part of the solution to improve financing opportunities for our innovative clients."
Access to working capital is critical for technology, cleantech and life science companies to support growth. Traditionally, foreign receivables that result from U.S. export sales are not eligible as collateral for working capital loans. Silicon Valley Bank's Ex-Im guaranteed working capital loans successfully expand its clients' borrowing capability, thereby fueling their export sales, jobs, and shareholder value.
Ex-Im Bank's ultimate goal is to help create and maintain U.S. jobs by helping finance U.S. exports. Together with commercial lenders like Silicon Valley Bank, Ex-Im Bank's support fills the gap in working capital financing and can help level the playing field for U.S. exporters by matching the financing that other governments provide to their exporters.
One of only eight Ex-Im Bank Super-Delegated Authority lenders in the U.S. and long-time leader in the use of Ex-Im Bank's programs, Silicon Valley Bank has been utilizing Ex-Im Bank guarantees for nearly 20 years. As an Ex-Im Bank Super-Delegated Authority Lender, Silicon Valley Bank can provide Ex-Im Bank-guaranteed financing on an expedited basis, speeding the process of securing bank financing for small businesses. Today, Silicon Valley Bank has the delegated authority to approve up to $300 million in Working Capital Guaranteed loan commitments to U.S. companies in need of financing their export sales.
In addition to its work with Ex-Im Bank's Loan Guarantee Program, Silicon Valley Bank offers a variety of export-related financial services. Contact your local Silicon Valley Bank representative for more details.
About Ex-Im Bank
Ex-Im Bank is the official export-credit agency of the United States. The independent, self-sustaining federal agency, now in its 76th year, helps create and maintain U.S. jobs by financing the sale of U.S. exports, primarily to emerging markets throughout the world, by providing loan guarantees, export-credit insurance and direct loans. Export loan authorizations by Ex- Im Bank more than doubled to $13.2 billion during the first half of the current fiscal year. That is a 125 per cent increase compared to the record $5.9 billion authorized during the same period in Fiscal Year 2009. An estimated 109,000 American jobs have been supported by the Bank's financing this fiscal year to date, compared to about 61,000 jobs supported during the same period last fiscal year. Small business export loan authorizations have increased half a billion dollars during the same period to $2.3 billion, 28 percent greater than the first half of FY2009. In fiscal year 2009, Ex-Im Bank authorized more than $21 billion in support of U.S. exports overall, the highest level in the Bank's 75-year history, to help ease tightened liquidity during the economic crisis. Ex-Im Bank also set a record for financing of small business exports at $4.36 billion in fiscal 2009. More information is available on the Ex-Im Bank's Web site at www.exim.gov.
About Silicon Valley Bank
Silicon Valley Bank is the premier commercial bank for companies in the technology, life science, venture capital, private equity and premium wine industries. SVB provides a comprehensive suite of financing solutions, treasury management, corporate investment and international banking services to its clients worldwide. Through its focus on specialized markets and extensive knowledge of the people and business issues driving them, Silicon Valley Bank provides a level of service and partnership that measurably impacts its clients' success. Founded in 1983 and headquartered in Santa Clara, Calif., the company serves clients around the world through 26 U.S. offices and international operations in China, India, Israel and the United Kingdom. Silicon Valley Bank is a member of global financial services firm SVB Financial Group (Nasdaq: SIVB), with SVB Analytics, SVB Capital, SVB Global and SVB Private Client Services. More information on the company can be found at www.svb.com.
Silicon Valley Bank is the California bank subsidiary and the commercial banking operation of SVB Financial Group. Banking services are provided by Silicon Valley Bank, a member of the FDIC and the Federal Reserve System. SVB Financial Group is also a member of the Federal Reserve System.